Diesel prices

[Powerstroke]

It would vary as much as .30 in just a couple miles of driving.

A lot of that has to do with local taxes. I am constantly reminded of this because I live in Hennepin Cty and we have lots of stupid taxes added on for stadiums etc. If I drive 5 miles into the next county gas will be 8-10 cents cheaper.

[Whoaru99]

One thing that i do think goes into it today is the fact that the refining while easier might cost a bit more due to the ultra low sulfur requirements.

I agree that could be part of it. These requirements weren't as stringent in the past. While I'm not a petrochemical specialist, in most things the higher the level of purity required the more difficult and costly it gets to achieve it and, afaik, it's not usually a linear relationship.

[delcecchi]

Also, USA is now a net exporter of refined petroleum products. Formerly were importing.

[swamptiger]

Quote:

As long as it is allowed for investors to profit from the buying and selling of fuel as a commodity without being required to take delivery and possession of said fuel we will be paying prices that correlate to absolutely nothing.

DING, DING, DING...we have a winner!

Fuel has become a big money play for speculators and they profit from big price swings.

All you need to do to figure that out is watch how prices fluctuate daily on the smallest tidbit of "news"...

[PurpleFloyd]

Yep. Remove the speculators and prices of all commodities would stabilize.